News

Nathan's Famous blames weather for disappointing Q2

November 2, 2018

Nathan's Famous reported financial results for Q2 2019, showing the brand increased diluted EPS to $1.06 per share for the period ending Sept. 24, over $0.74 the prior year period, a news release said. 

Other key Q2 results, include: 

• Revenues fell from $31,471,000 last year's quarter to $29,330,000 this year.
• Adjusted EBITDA rose from $9,257,000 last year to $9,476,000 this Q2. 
• Net income rose from $3,120,000 last year's quarter to $4,484,000 this year. 

The Company also reported that sales were down for restaurants, including a drop of $10,555,000 to $10,189,000 for company-operated stores for the 26 weeks ending Sept. 23, due to negative effects due to "exceptionally unfavorable weather conditions in the Northeastern United States during April and August 2018."

Revenues from franchise operations during that same period fell from $2,487,000 last year's period to $2,343,000 this year, with a drop in total royalties of $2,330,000 to $2,101,000 in the fiscal 2019 period. But, total franchise fee income grew from $157,000 last year's period to $242,000 this year.